European butadiene producers poised to benefit from limited supply and new capacity

12:35 PM MDT | April 23, 2013 | Francinia Protti-Alvarez

Europe's butadiene producers are expected to benefit from growing demand and limited yields despite recent uncertainty over the short-term direction of butadiene prices, IHS Chemical says. Historical data provide evidence of healthier margins in Europe for butadiene than for ethylene. As a result, some of Europe's butadiene producers have launched expansion projects or commissioned new capacity for start-up in 2013–16. Europe's ethylene margins continue to be weak, and remain unpredictable and volatile. Fragile ethylene-to-naphtha spreads reflect a loss of...